Private student loan - Revolving account or installment loan?

Private student loan - Revolving account or installment loan?

I co-signed on a stuent loan. We qualified for 75,000 max but so far she only took 6,573. This is reporting as a revolving account, the 6,573 amount is added to all my caredit card balances. Why do my student loans report as installment loans and this one reports as a revolving account when its just a personal student loan taken out. Is this good or bad that its showing up like this? When I click on details for this account it says largest past balance 75,000, under descriptions it says line of credit and payment deferred.

Re: Private student loan - Revolving account or installment loan?

SMikulski49 wrote:

I co-signed on a stuent loan. We qualified for 75,000 max but so far she only took 6,573. This is reporting as a revolving account, the 6,573 amount is added to all my caredit card balances. Why do my student loans report as installment loans and this one reports as a revolving account when its just a personal student loan taken out. Is this good or bad that its showing up like this? When I click on details for this account it says largest past balance 75,000, under descriptions it says line of credit and payment deferred.

Thanks for your help everyone

Stan

I don't know a whole lot about student loans but I thought ALL SL's were considered installment. But I could be wrong. Have you contacted the lender about this? It could just be coded incorrectly.

Because it's included as a revolving account it is most definitely hurting your score.

Re: Private student loan - Revolving account or installment loan?

OP, are you POSITIVE that you applied for a student loan? it sounds like maybe you got a line of credit that CAN be used for a student loan, which is why it is reporting as a line of credit. a student loan wouldn't report as you using $6k out of $75k, for example.

Re: Private student loan - Revolving account or installment loan?

Sorry for posting on both threads, I wrote the other one and then realized that the second part of my questions is more loans related so i posted it here as i thought i would get more responses.

I will give my credit union a call and ask them, last time i checked my credit report i didn't notice it showing up like that. My transunion report does not even show this loan on the report.

Having this report as revolving account do they think its a credit card or something? i mean i am using 6K out of 75K available so i would see how this can go under revolving accounts.

I dont mind cz my credit score is getting higher and higher every time i check it, i am just curious if she pays off the loan off will that be like closing a credit card? and that in fact would lower my credit score?

Re: Private student loan - Revolving account or installment loan?

No prob. It's easy to get into an "Oh, and also..." frame of mind when posting.

Lines of credit are also considered revolving credit. Revolving means you can borrow (charge) against the credit limit, pay it back, and then borrow it again. Installment means you can borrow against the credit limit, but once you've done so, you can't borrow again, even if you pay it back. Sorry, I know that's kind of elementary, but that's why lines of credit fall into the same category as credit cards.

If the underlying full reports also show this as a revolving line of credit, rather than an installment loan, then that's how it's being scored. However, if it is, that high CL means that it's being ignored for calculating revolving util. So it's like having a revolving TL (tradeline; credit account), but it's neither helping nor hurting util. Hope that makes sense. It's definitely an odd situation.

Re: Private student loan - Revolving account or installment loan?

As long as it is not hurting me then I do not really care how it is reporting. I am slowly trying to get my credit score to reach 800+ then I will be satisfied everytime I check my credit score it seems to go up and up so I am doing pretty good. So far the only thing that is hurting me is the short credit history, but only time can fix this now.

I have learned a lot reading these forums and having you guys answer my questions. I would never be able to make it this far with out you guys so thanks to all of you

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IMPORTANT INFORMATION: All FICO® Score products made available on myFICO.com include a FICO® Score 8, along with additional FICO® Score versions. Your lender or insurer may use a different FICO® Score than the versions you receive from myFICO, or another type of credit score altogether. Learn more

FICO, myFICO, Score Watch, The score lenders use, and The Score That Matters are trademarks or registered trademarks of Fair Isaac Corporation. Equifax Credit Report is a trademark of Equifax, Inc. and its affiliated companies. Many factors affect your FICO Score and the interest rates you may receive. Fair Isaac is not a credit repair organization as defined under federal or state law, including the Credit Repair Organizations Act. Fair Isaac does not provide "credit repair" services or advice or assistance regarding "rebuilding" or "improving" your credit record, credit history or credit rating. FTC's website on credit.